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SHOWA PAXXS CORP. (3954) AI Stock Analysis

JP:3954

SHOWA PAXXS CORP.

(TSE/TYO:3954)

Select Model
Rating:77Outperform
Price Target:JPY 3,689.00â–²(22.56% Upside)
Action:reiterated
Date:08/18/26

The stock’s score is driven primarily by a very robust, low‑debt balance sheet and improving cash generation that provide resilience, combined with a low earnings multiple that suggests a modest valuation. These strengths are partially offset by the recent drop in revenue growth and already elevated price momentum indicators, which reduce visibility on sustained topline expansion and limit near‑term upside potential despite the otherwise solid fundamentals.

Positive Factors
Very Low LeverageVery low leverage and sustained equity growth indicate conservative funding. This reduces refinancing risk and gives the packaging business flexibility to withstand demand swings or invest without heavy balance-sheet strain.
Negative Factors
Sharp Revenue DeclineA major revenue contraction weakens visibility into customer demand and utilization across the packaging business. Unless reversed, lower scale could constrain operating leverage and offset the benefit of recent margin improvement.

SHOWA PAXXS CORP. (3954) vs. iShares MSCI Japan ETF (EWJ)

-20%-10%0%10%20%30%JP:3954+6.04%EWJ+15.87%Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
Market Cap
JPY 13.21B
Dividend Yield
1.83%
Average Volume (3M)
880
Price to Earnings (P/E)
8.9
Beta (1Y)
0.66
Revenue Growth
2.39%
EPS Growth
21.14%
Country
Japan
Employees
681
Sector
Consumer Cyclical
Sector Strength
61
Industry
Packaging & Containers

SHOWA PAXXS CORP. Business Overview & Revenue Model

Company Description

Established in 1935 and headquartered in Tokyo, Japan, Showa Paxxs Corporation is a leading producer and global supplier of diverse packaging containers and materials. Their extensive product line includes a wide array of Kraft paper bag styles, such...

How the Company Makes Money

null

SHOWA PAXXS CORP. Financial Statement Overview

Summary

Very low leverage and a strengthening balance sheet, together with improving cash generation and margins, support a solid profile, but the recent sharp revenue decline and only mid‑single‑digit net margins restrain the score.

Income Statement

63Positive

Balance Sheet

86Very Positive

Cash Flow

71Positive
Financial statement breakdown
BreakdownTTMMar 2026Mar 2025Mar 2024Mar 2023Mar 2022
Income Statement
Total Revenue24.21B23.56B23.32B21.65B22.28B21.60B
Gross Profit4.68B4.41B4.27B3.82B3.74B3.98B
EBITDA2.63B2.39B2.08B1.64B1.71B1.98B
Net Income1.48B1.28B1.32B962.35M947.99M1.10B
Balance Sheet
Total Assets38.72B36.92B33.43B33.49B30.35B29.40B
Cash, Cash Equivalents and Short-Term Investments9.67B9.64B8.94B8.45B8.15B8.05B
Total Debt1.20B1.20B1.21B1.24B1.29B1.13B
Total Liabilities10.40B9.44B9.16B9.69B9.09B9.32B
Stockholders Equity28.04B26.71B23.45B23.05B20.49B19.39B
Cash Flow
Free Cash Flow01.10B984.18M336.73M174.92M729.41M
Operating Cash Flow02.09B1.97B992.48M773.83M1.84B
Investing Cash Flow0-1.27B-2.29B-700.43M-773.19M-1.16B
Financing Cash Flow0-375.50M-326.97M-240.99M-38.25M-201.17M

SHOWA PAXXS CORP. Technical Analysis

Technical Analysis SentimentNegative
Last Price3010.00

Price Trends

50DMA3106.43Negative
100DMA2985.50Positive
200DMA3037.24Negative

Market Momentum

MACD-13.22Positive
RSI40.25Neutral
STOCH-0.00Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For JP:3954, the sentiment is Negative. The current price of 3010.00 is below the 20-day moving average (MA) of 3079.75, below the 50-day MA of 3106.43, and below the 200-day MA of 3037.24, indicating a bearish trend. The MACD of -13.22 indicates Positive momentum. The RSI at 40.25 is Neutral, neither overbought nor oversold. The STOCH value of -0.00 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for JP:3954.

SHOWA PAXXS CORP. Peers Comparison

Overall Rating

UnderperformOutperform
Sector (61)

Financial Indicators

JP:3954 against its peers
NameOverall RatingMarket CapP/E RatioROEDividend YieldRevenue GrowthEPS Growth
JP:3950JP:395085OutperformJPY 88.60B14.96―2.59%3.57%-1.12%
JP:7864JP:786481OutperformJPY 192.18B8.8013.51%2.54%3.89%67.10%
JP:7942JP:794278OutperformJPY 75.53B9.93―3.49%14.19%90.30%
JP:3954JP:395477OutperformJPY 13.36B8.94―1.83%2.39%21.14%
JP:5901JP:590173OutperformJPY 602.22B12.537.89%3.75%6.21%108.07%
Sector *61Neutral$18.38B12.79-2.54%3.03%1.52%-15.83%
JP:7917JP:791758NeutralJPY 94.95B11.408.26%2.91%5.99%22.32%

* Consumer Cyclical Sector Average

Performance Comparison

0%20%40%60%JP:3954JP:7917JP:7864JP:5901JP:3950JP:7942Dec '25Jan '26Feb '26Mar '26Apr '26May '26Jun '26Jul '26Aug '26Sep '26Oct '26
JP:3954 and its peers over the selected period
Show on chartTickerCompany NamePriceChange% Change
JP:3954SHOWA PAXXS CORP.3010.00200.807.15%
JP:7917Fujimori Kogyo Co 1235.00209.2420.40%
JP:7864Fuji Seal International 3510.00877.6333.34%
JP:5901Toyo Seikan Group Holdings 4475.001154.1734.76%
JP:3950Pack Corporation1507.00340.6029.20%
JP:7942JSP Corporation3070.001251.8168.85%
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Aug 18, 2026